Child care providers required to provide parents with statements?
Are child care providers required to provide parents with yearly statements of what they paid? I was wondering if it's an actual requirement because I'm having an issue with my child's day care provider. She is not wanting to provide me with a Tax ID or SSN to file on my taxes. I requested this information about two months ago. Can someone provide me with a source? Is there anyway for me to report her?
Public Comments
- If she is a small in home care day care doing child care a lot cheaper she may be trying to take care of kids and not file it on her taxes.She may not be wanting to provide you with a tax statement for this reason. What excuses has she given you? The tax deadline is almost here.Talk to your tax provider and estimate what you have paid if you have to. You are allowed to file child care on your taxes. What agreement was made when she started child care?
- If you cannot get the information, attach a note to the 2441 explaining that you tried to get the information. Then give her name and address. Use your own cancelled checks to determine how much you paid her.
- No, they are not required to give statements. You are required to keep accurate records of your expenditures, either cash receipts from the provider OR your canceled checks/check stubs & bank statements. Many providers do generate annual statements for their customers, however there is no legal requirement for them to do so.
She is required by law to give you her Tax ID. Give her a form W-10 http://www.irs.gov/pub/irs-pdf/fw10.pdf and ask her to complete and return it ASAP. Remind her that the IRS can (and probably will) assess a $50 minimum penalty on HER for failing to provide the information.
You can still claim the Child & Dependent Care Credit without her SSN or Tax ID. See the instructions for Form 2441 for how to proceed where the provider will not cooperate. You should also advise the provider of the fact that you will be claiming the credit and that the IRS will know about the income whether she cooperates or not.
